European AI Talent Study
Artificial Intelligence is transforming European organizations and intensifying talent competition. Mercer’s latest AI Talent Study on the region reveals skill gaps and strategies for workforce improvement.
Mercer’s European Study on Reshaping the AI Talent Landscape brings together global labour-market analytics and interviews with senior leaders across a range of industries. The findings point to a clear imbalance.
Demand for AI skills continues to grow rapidly, but supply of experienced professionals is not keeping up, especially in Europe’s major economic hubs. Cities such as London, Paris, Berlin, Amsterdam and Madrid are facing some of the most significant talent shortages anywhere in the world. Even organisations with strong brands and competitive compensation say it is becoming harder to hire specialists who can build, scale and govern AI in a responsible and commercially meaningful way.
At the same time, the profile of the ideal AI professional is shifting. Companies are no longer looking only for deep technical experts. They are searching for hybrid talent: people who understand AI technologies but can also connect them to business strategy, communicate with non-technical teams and think creatively about real-world applications. Leaders repeatedly highlight curiosity, adaptability and cross-functional collaboration as capabilities that matter just as much as advanced engineering skills. In short, the value comes from professionals who can bridge technology and business impact.
Attracting and retaining this kind of talent requires more than salary alone. Culture, purpose and the freedom to innovate now carry significant weight. Many organisations report that AI professionals want the space to experiment, learn and work on meaningful challenges. Flexible work models and visible leadership support also play an important role. As several leaders noted, people in these roles stay for the work they can do and the environment they can grow in, not only for compensation.
This combination of rising demand, limited supply and evolving skill expectations means European organisations must rethink their workforce strategies. The companies moving ahead are investing in internal capability building, global sourcing models, clear career pathways and responsible AI governance. AI has become a strategic capability, and workforce strategy now needs to evolve at the same pace.